Companies /Technology

Snowflake Inc - Class A

NYSE: SNOW Software - Application
$337.18
▼ $19.29 (−5.41%) today
Markets closed · 11:27am ET

Q2 2026 Earnings

Reported Aug 27, 2025, 4:06pm ET · SEC source
$0.35
Beat +31.33%
EPS · est. $0.27
$1.1B
Beat +5.29%
Revenue · est. $1.1B
−9.1%
Trailing market
SNOW vs S&P since report
6 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−7%0+7%Aug 27Aug 28report 4:06pm ETearnings+0.3%+6.0%
−7%0+7%Aug 27Aug 28earnings+0.3%+6.0%
SNOW +6.0%S&P 500 +0.3%
−7%0+7%Aug 27Aug 28report 4:06pm ETearnings+0.5%+6.0%
−7%0+7%Aug 27Aug 28earnings+0.5%+6.0%
SNOW +6.0%NASDAQ +0.5%
−7%0+7%Aug 26Sep 4report 4:06pm ETearnings+0.6%−1.0%
−7%0+7%Aug 26Sep 4earnings+0.6%−1.0%
SNOW −1.0%S&P 500 +0.6%
−7%0+7%Aug 26Sep 4report 4:06pm ETearnings+0.8%−1.0%
−7%0+7%Aug 26Sep 4earnings+0.8%−1.0%
SNOW −1.0%NASDAQ +0.8%
+20.27%
Day of report
−0.97%
Next session
−6.40%
One week
−6.41%
30 days

S&P 500 over the same 30 days: +2.66%.

Did SNOW Beat Earnings? Q2 2026 Results

Snowflake delivered a standout second quarter of fiscal 2026, posting adjusted earnings of $0.35 per diluted share against a consensus estimate of $0.2665 — a 31.33% beat — while revenue of $1.14 billion cleared expectations by 5.29% and grew 31.8% year-over-year. The cloud data platform's consumption-based model was the clearest engine behind the outperformance, with net revenue retention holding at 125% and the number of customers generating more than $1 million in trailing twelve-month product revenue climbing 30% to 654. Non-GAAP operating income surged to $127.57 million, more than triple the $43.75 million recorded a year earlier, reflecting meaningful operating leverage as the business scales. With <a href="https://247wallst.com/investing/2026/02/26/snowflakes-7-88-billion-revenue-backlog-is-impressive-the-april-27-lawsuit-deadline-is-not/">remaining performance obligations</a> reaching $6.90 billion — up 33% year-over-year — future revenue visibility remains robust, and management's full-year fiscal 2026 product revenue guidance of $4.39 billion, implying 27% growth, suggests the AI-driven momentum is far from fading.

Key Takeaways
  • 32% year-over-year product revenue growth driven by consumption-based model
  • Net revenue retention rate of 125%
  • 654 customers with trailing 12-month product revenue greater than $1 million, up 30% YoY
  • Remaining performance obligations of $6.9 billion, up 33% YoY
  • Non-GAAP operating margin expansion to 11% from 5% in year-ago quarter
  • Growing AI adoption with 6,100+ accounts using Snowflake AI weekly

“Snowflake delivered yet another strong quarter, with product revenue of $1.09 billion, up a strong 32% year-over-year, and remaining performance obligations totaling $6.9 billion.”

Snowflake CEO, on the earnings call

Forward Guidance & Outlook

For Q3 fiscal 2026, Snowflake guided product revenue of $1,125-$1,130 million (25-26% YoY growth), non-GAAP operating margin of 9%, and non-GAAP diluted weighted-average shares of approximately 374 million. For full-year fiscal 2026, the company guided product revenue of $4,395 million (27% YoY growth), non-GAAP product gross margin of 75%, non-GAAP operating margin of 9%, adjusted free cash flow margin of 25%, and non-GAAP diluted weighted-average shares of approximately 372 million.

SNOW YoY Financials

Q2 2026 vs Q2 2025 · SEC filings Q2 2025 Q2 2026
$0$500.0M$1.0B$868.8M$1.1BRevenue$580.8M$773.2MGross Profit$-326,466,468$-340,276,000Operating Income$-281,092,556$-297,930,000Net Income
$0$500.0M$1.0BRevenueGross ProfitOperating IncomeNet Income

SNOW Revenue by Segment

Product Revenue$1.1B+32.0%
Professional Services and Other$54.5M

Figures from SEC filings and company reports. Not investment advice.